Hi all,

If i not able to buy a house this year, till end 2021, and i buy a house in 2022, new launched project, what is the different?

I checked the webiste for HOC calculation

https://www.propertyguru.com.my/property-gu...-malaysia-15274

ok. If no HOC, i thought all new launched project will be exempted all the fees (stamp duty for loan and MOT, legal fees, SPA agreement fees etc) same with HOC.
because in HOC 10% deduction only.

Am i right? correct me if i wrong terribly.

Stamp duty for MOT and loan is almost always never exempted in non-HOC discount packages because those are a form of tax. That's the main "saving" that those who took HOC will get. Which is why if you took a unit/project under HOC, the lawyer will make you sign a special form that need to submit to tax authorities.

Free legal fees etc. are by developer usually through special arrangements with their panel lawyers.

Note that these days most HOC projects will mark up their reported purchase price to REDHA so the end result you'll have to pay is still similar to non-HOC prices. The only real savings is the stamp duty.

you may check with this: https://loanstreet.com.my/learning-centre/h...mo-requirements

if you are first time home purchaser, then it make no difference as the MOT and loan agt will be exempted also..

thank you very much for the sharing

i see. because now going to year end. I see new developer increase their price more than 10% then give 10% HOC , seems no different.

It also depends on property type.

If buy service apartment (commercial under HDA), there's no stamp duty exemption normally. Then HOC is potentially savings.

Ur timing to buy is priority
HOC or not... u can't care much. No point ngeh ngeh buy during HOC if timing not ngam

It's more important to watch how the nett price is compared to general market value of the area+type of property, and get a house that suits your needs more than how much discounts there are

bear in mind that the costs of discounts, cashbacks, furnishing, deferred instalment packages etc. have been factored in to adjust the nett price and developers do not give such discounts out of charity

with how Malaysia has no central authority/database on the prices of real transactions and the lack of transparency of property value, developers can more or less cincai throw price and do a lot of marketing campaigns to get enough hype to get enough willing buyers

only buy when you're prepared and confident to meet the financial burden

This post has been edited by DragonReine: Oct 14 2021, 05:04 PM

With hoc, normally u will be able to save on MOT only, assuming developer won't give u for free.

U won't save on property price as most developer will hike up the price 10% and then deduct 10% for show.

i try to time the market. during this 2 years, march 2020 till now,..i had been actively searching for house and think house price will drop. then im wrong, the house price didnt drop and go up somemore!!!! New launch all selling future price....haih.... I mean i only search for landed house . KL selangor area.

thank you very much sifu for your detailed explanation.

nett price means i need to compare the surrounding property nearby. all new launch and new houses. really dunno how to compare?

iproperty or property guru?

Free sites:

https://www.brickz.my/

https://www.edgeprop.my/edge-reference-price

https://www.edgeprop.my/transaction

You can pay a professional property valuer for peace of mind, but it's several hundred to several thousand per valuation, depending on the price of the property you're intending to buy.

You can also be very thick faced and survey/call several for sale listings in that area pretending to be an interested buyer and negotiate on the prices. This gives you a better idea of how much people are willing to sell at that area, but very hard work and must have good people skills 😂

https://www.freemalaysiatoday.com/category/...ing-market-too/

There is chance for price drop (minimal and very slight) for sub-sales and/or lelong only...
Impossible new projects will have drop in price, no matter condo or landed... 1 main economic factor - scarcity, when a project is completed, means a piece of land is lesser in the world, how possible newer project will be cheaper (please take apple to apple comparison)
Secondly... construction material & labour prices, especially aluminum since Covid crissis started... lagi will naik

im too naive i guess. thought economy bad. people no money buy house. house price drop. demand less. but im so wrong

thank you very much sifu .

one more question i wanna ask as i just see another unit.
1. its a subsale. asking price let say RM 900k
2. the sales person told me bank valuation is 800k. he say the owner die die also wanna sell Rm 900k. I say i cannot afford if Rm 900k.
3. the sales person say he can kaw tim with the bank (he intro the bank) to make the valuation Rm 900k so i can borrow the base on 900k and not 800k. Like that also can meh?

I thought the bank will send "ëvaluator" ( i dunno the correct terms) to come and see see the house only determine how many percent and how much can loan.
Is anything fishy?

thank you. secondary means subsale? sorry as im noob in property thingy.
The article mention benefits the house owner who sell house. not those who buy house. not really get it.

May . Not yet implemented. So wait for approval and will know later

agent probably pulling leg and getting you to agree to deal with him and his bank contact, house originally valued at 900k already he just trying to convince you to take both the house and the loan through him

since it's subsale you can search sales listing for the same area/project and see if it matches the 900k, or use Brickz to see previous transactions of the area

There are many subsales transacted above bank valuation. Is up to the buyer how he perceived value of such property. 'Value' is not always equal to price.

Bank valuation are average market price. Two similar subsale properties can never be sold at the same price.

ohh... i see i see. thank you. so that he can get the commission for intro the bank

thank you thank you again for answering my uncertainties.

I see. i initially thought the bank will evaluate the house. not the sale person. now I get a clearer picture that all this is depends on the person. not a real value of the house.

Bank A can say Rm 800k, Bank B can say, RM 900k, bank C can say Rm 500k. Now i get it.

The price you see on sale listings are suka² put by the seller, may not necessarily reflect the actual market value. They're considered "asking price".

For market value you need to see property valuer's report, either through bank during loan application process or you pay valuer yourself. I've kena cases during my journey as a buyer where the value given by bank/property valuer is lower than the asking price so it's hard to get comfortable loan margin, so I had to cancel my booking 😅

Yes.
Now got one agent say one of the house im interested, let say Rm 700k. I offered 650k. he say cannot because "bank valuation is Rm 700k. The owner wouldnt agree".

I wanted to know can he say like that straight away without telling the owner? he didnt say non-negotiable. he say bank value is Rm 700k.
Or he wanted to sell the house higher price to get higher commission?

secondly, again, is he using certain tactic to persuade buyer by saying "bank valuation?" .

usually owners will have a hard limit that cannot be negotiated lower, that's why agent may say owner wouldn't agree, because owner really wouldn't agree, and it's possible that agent is being truthful in saying bank valuation at 700k

again, surveying similar house listing and transacted price history in the area will tell you if agent is being truthful or lying, because banks/property valuers use similar criteria to value property (transaction history and current marketed prices of nearby properties)

This post has been edited by DragonReine: Oct 25 2021, 04:00 PM

Guys, do i still able to enjoy the hoc benefit ? if i currently have property under my name together with my brother due to my father has passed away few years back.

ok thank you.

HOC can be enjoyed by non-first time hownowners like your case, since there is no express/explicit restriction that it must be for first time homeowner. Just that you do not qualify for any first time homeowner schemes like Skim Rumah Pertamaku etc.

The scheme rumah pertamaku is for 100% loan and no down payment?

Up to 110% financing, subject to T&C

official site: https://www.srp.com.my/en/